her feet, king's blood. martha: such a bizarre story. bill: great to be back with you by the way! hope you have an awesome weekend. martha: you too! see you next week on thursday and friday. bill: look forward to that. cool. "happening now" starts right now. have a great weekend. martha: have a great weekend! jon: a fox news alert. unemployment in america is headed in the wrong direction: up. in may, the jobless number rose to 9.1%. our economy, adding just 54,000 jobs nationwide. that's the smallest number in eight months, today's grim numbers coming out a slate of bad economic numbers on housing, manufacturing and even consumer confidence. let's take a look at how wall street is reacting, right now, the dow down 73 points, could be on our way to a fifth straight down week on wall street. so we all know how volatile fridays can. i just spoke with the white

house point man on the economy. we'll bring you what he had to say in just a moment. stkpwhra a fox news alert, riveting tapes playing out in the casey anthony murder trial. we'll take a live look at casey on the stand. jurors are listen to go jailhouse visits. anthony, talking with her parents, saying she aches to be home, to help look for her child, but is staying strong. words that prosecutors say are all lies. >> i'm kind of glad i haven't been crying every single day. i mean, inside, yeah, of course, but i'm keeping my wits about me and i'm staying as strong as i possibly can. the strongest i think i've ever been. patti ann: harris faulkner has more, she joins us live from the breaking news desk. >> reporter: hey from patti an, the prosecution putting on video for your -- jurors back from 2008, because from when casey anthony was first arrested in the disappearance of her

toddler daughter caylee, a short time ago they heard the chat between casey and her father, days before what would have been little caylee's birthday. we're going to listen to more. listen carefully. because we now know from casey's own defense team, she was lying. >> hopefully, you can get that energy, just from my voice, this morning, to know that we want this -- we want caylee back, my little gal. >> i know. all i want is to see caylee. >>a yeah, you know what today's date is? >> we have a week until her birthday. i know. >> we have six days. >> i know that. >> so you know, i just -- i want to have that big party for her. we were first having pw-lgts one but we're going to have a big one, you know? >> i want to be home so we can do that, dad. >> reporter: she said all i want to do is see caylee. according to casey's own defense, by the time those conversations had happened,

caylee was already dead from an accidental drowning in the family's pool, according to casey, which she says her father helped her cover up. he denies that. and we know the courtroom is about to watch another video. this one, 40 minutes long. don't know if casey will ever take the stand in her own defense, but right now, jurors are getting an earful from her, anyway. in fact at one point yesterday her attorneys asked for a mistrial because of some of the negative stuff on the tapes. the judge said no. the tapes play on today. we are watching this closely as news warrants, and as it breaks from there, we'll bring it to you jon. jon: and a good friday morning to you, i'm jon scott. lots of news breaking this morning. patti ann: that's for sure. i'm patti an brown in for jenna lee, we are in the fox news room, "happening now", the fallout from bad news on the job front, the national unemployment rate rose to 9.1% in may and the economy added only 54,000 jobs, that's the lowest number we've seen in eight months.

jon: just a few machines ago i spoke with austan goolsbee, the top economic adviser about today's jobs numbers. many economists characterize them as abysmal. i asked mr. goolsbee how he would describe it. >> well, this month is clearly worse than expected. last month was well better than expected, and as i said, last month, this month, and every other month, always be careful taking any one month's jobs numbers. we clearly have strong head winds at the beginning of this year, with gas prices, with the disruptions from japan, some of the financial issues in europe. it's far more accurate to look at a little bit of a longer trend. over six months, the private sectors added more than 1 million jobs. so there are going to be bumps in the road. but our effort has got to be as a nation, get the growth rate back up, and keep at the kind of trajectory we've seen over six months, which

is adding substantial jobs. jon: but as you well know, over a month-by-month basis, you have to add, what, 130,000, maybe 150,000 jobs in this economy to just keep up with population growth? if you've got a million jobs, over six months, that barely accomplishes that. >> well, i don't know that i totally agree with the math on that. it's true, you've got to have job growth above some amount to get the unemployment rate down. and to your point, we didn't generate enough jobs this month, and though it was positive, the unemployment rate ticked up. but over this six-month period, the unemployment rate is down 7/10 of a point, and that's about the biggest six-month drop in more than 20 years. so we've got a long way to go. it's still too high. but i think what we need to do is make progress in continuing to work that down by just adding jobs on the

board. jon: the opponents of the administration's spending of the trillions of dollars in stimulus money are saying today see, i told you so, not only are we keeper in debt, but the stimulus spending didn't do what it was intended to do, create jobs. what do you say to that? >> well, i wonder what they have said over the last six months when we added 1 million jobs or over the last 15 months when we've added more than 2 million jobs. so as everyone knows, we have faced some tough head winds at the beginning of this year, as the out-- as outlined, with gas prices and with some of the events in japan, but the overall trend has clearly been in the positive direction. we're clearly in a totally different ballpark than we were when the president took office, and we're losing more than 750,000 jobs a month. so i think the contrast is pretty substantial. jon: our conversation

continued. in the next hour, we will show you more of that interview with austan goolsbee. coming up in a few minutes, we'll get the republican response to those may unemployment numbers from congressman darrell issa, chairman of the house committee on oversight and government reform. we'll also ask the congressman what the gop plan is to create jobs in this country. patti ann: john edwards, indicted, a federal grand jury hitting the 2-time presidential candidate on six counts, stemming from a lengthy investigation into whether edwards spent a massive amount of campaign funds to keep his mistress in hiding during his last run for the white house. john roberts joins us live outside the federal courthouse in raleigh, north carolina. hi john. >> reporter: hey patti ann. we know that john ed wads is going to be arraigned in federal court in winston-salem, north carolina about two hours from rather i-durham, that will be at 230 time, so we'll be packing up and headtology winston-salem and

bring you that. going through the indictment, it's clear that the u.s. attorney, george holding, is trying to make clear the monies given edwards by his two friends, mellon and barren were seen as campaign contributionings, that he knowingly conspired to receive dough nations above the yearly limit and falsify, conceal and cover up and as well, file false and misleading campaign reports with the federal election commission. the purpose of all of this, and this is the key to the case, the purpose of this, to protect and advance his candidacy for president of the united states, fear thank if word of the affair and the child with rielle hunter got out, that that would undermine his appearance as a family man and therefore damage his dan -- candidacy. the campaign that the edwards camp is mounting is no, these were not campaign contributions, this was simply money that was given by friends to a friend to help him out in a difficult situation and the edwards

camp did release within the next hour a couple of statements, one from scott tom kwrarbgs former chairman of the federal election commission, another one from former commissioner of the fec, saying that they believe within the meeting of the campaign finance -- meaning of the campaign finance laws, this did not constitute campaign contributions. scott thomas said he met with prosecutors on april 20th of this year to give them that opinion. obviously, they didn't put a whole lot of weight on that opinion because they have now charged john edwards with, as you said, six counts of violating campaign finance laws. it's going to be a bad day for edwards. we'll go out to winston-salem, north carolina to see if he has anything to say prior to his arraignment at 2:30 today, patti ann. patti ann: john roberts, live in north carolina, thanks. jon: well, some of the presidential hopefuls, testing the waters in new

hampshire. among them, former new york city mayor rudy giuliani. we had a chance to speak with him. he is in new hampshire, just one day after mitt romney announced he'll seek the republican nomination for president in 2012. the romney campaign, feature ago town hall meeting in manchester, this as sarah palin's bus tour rolls through. carl cameron is in manchester, new hampshire, keeping an eye on these developments. carl. >> reporter: hi jon. mess, ms. -- yes, ms. palin has wrapped up her bus tour and is handed out you new hampshire by plane, she left mitt romney just wrapped up his town hall meeting a few moments ago and coming with new jobless numbers suggesting unemployment is up to 9.1%, bad news for democrats and the obama administration, as well as american workers, mitt romney at his town hall wasted no time going after president obama and the nation's unemployment rate: >> we have more news that unemployment has ticked up

again. we have 16 million people out of work. or just not looking for work. millions more. are in jobs well beneath their capacity. >> reporter: mitt romney, a former businessman, says the economy and jobs, the top issue of the upcoming 2012 campaign, is very much in his wheel house, he explained his loss in 2008 because he says the issue then was the iraq war and that was in john mccain's wheel, who ultimately won the republican nomination. someone who came up short, former mayor rudy gul an aoerbgs he was in north conway and dover, where he had events yesterday and this morning. we talked with him a great deal about it, he thinks he's very well suited to tackle the economy because of his experience as new york mayor and he took a bit of a shot at romney for romney's spot in massachusetts where he implemented a health care plan that included a mandate for people to participate. this is how rudy tkpwa*ul

anetalked about it. >> mitt romney has a lot of good ideas, a lot of strength they. he has a big weakness. i think romneycare is a bigger weakness than he thinks it is. i think the only way to deal with it is to say it was a business mistake. >> reporter: just about all the republican candidates say they would repeal omabacare. giuliani is seriously thinking about running for president and said he will come back to new hampshire quite a bit and probably make a decision before august, that's when he thinks the deadline will close, so for the next couple of months, there may be another entry, another candidate from 2008, this time, rudy giuliani says he will do it differently. last time he con seasondrate dollars -- concentrated on florida, this time, he will focus on the primary states. >> more drama on day nine of the casey anthony murder trial. live inside the courtroom, the latest in the trial of this young woman accused of killing her own daughter.

outrage and fear in europe, where an e coli outbreak could become the deadliest ever and concerns that this strain could spread to the united states. jon: a lot of people online, obviously, as patti ann says, they're watching our program. here's our happening now show page, there are those jobs numbers we talked about. but if you scroll down a little bit, you'll see the information on that new strain of e coli right there. we've got it loaded. if you want to know more about that report, a deadly strain that has reached the united states now, it's there for you, fox news.ko*plt. your other news source.

patti ann: a pax news alert, your 401(k) takes a hit after the unemployment rate

ticked up in may. the markets are down sharply on the disappointing jobs numbers announced this morning, unemployment rising to 9.1% and the lowest number of jobs created in eight months. republican congressman darrell issa of california is chairman of the house committee on oversight and government reform. thank you for joining us. >> thank you patti ann. this is not unexpected as can you imagine. patti ann: yeah, but on the other hand, the freddie mac was 120,000 new jobs would be added and instead it was 54,000, so that part was a bit surprising to analysts. >> there's no question we're unwinding from the stimulus spending, we're unwinding from a number of other bad decisions and as we found yesterday in the louisiana university report, we're also dealing with at least 19,000 jobs that have been lost because of the moratorium/permatorium in the gulf, 250,000 barrels of u.s. oil not being produced today.

that's not just a hit to high paying jobs, it's also a hit to the bottom line of tax revenue, because almost 20 percent of that revenue would go right to the federal tax treasury. so there's a number of areas in which bad decisions are starting to really affect us. patti ann: and we should point out, also, this 9.1% unemployment rate, official rate, doesn't even tell the whole story. it doesn't count the people who have given up or those who are underemployed, working part-time instead of full, or people who are taking jobs below their pay grade, just to get a paycheck. so what is the real unemployment picture? >> well, the real unemployment picture is separate from the real employment picture, and what i think our committee is looking at is quality and quantity of private sector jobs, and what we're finding is this economy, for more years than just obama, but clearly during this administration, is not producing private sector, high paying jobs, or even reasonable paying jobs. and that's what we have to attack. unemployment rates will rise and fall over the short term, but in the long term, if you're doing what

american job creators want you to do, you will create better jobs in america. that means creating an environment for investment, it means stop trying to throw up new barriers and road blocks in the name of environmental purity, to the people who want to produce here. every day, jobs are being produced off shore by companies who are american companies, but it makes good sense to move those jobs in another country. we have to change that trend, we're not doing it in oil, minerals, we're not even doing it in farming. this has to change and change quickly or we're going to continue to see unemployment rise. patti ann: congressman darrell issa, we have to leave it there. >> but patti ann. jon: a fox news alert now, three american travelers struck by that deadly strain of e coli now spreading across europe, this as angry spanish farmers dump crates of cucumbers outside the german consulate in the city of valencia after they claim

that german cucumbers are responsible for the deadly outbreak that have killed 18 people in your and sickened hundreds more. jonathan serrie is live in atlanta, home to the centers for disease prevention and control. what are they saying there? >> reporter: researchers at the cdc are in constant contact with the european counterparts as they monitor this outbreak that is still largely concentrated in germany, but they're also working with local health departments here in the u.s., monitoring the ongoing progress of three patients who are being treated for complications from this rare strain of toxin producing e coli. these three u.s. patients apparently became infected with the e coli during recent travel to germany, and then developed the symptoms after their return to the u.s. so far, there is no evidence that any transmission of the disease has taken place in the u.s. so what is the risk to people living in this country? well, we spoke with the deputy director of the cdc's

division of food borne bacterial and nyotic disease for perspective. listen: >> we expect to see a few more cases among travelers, unfortunately, we think the risk of it spreading to other people in the united states is low. the main problem with this infection is going to be from eating contaminated food and we're not aware that any of the suspect foods have been brought to the united states. >> reporter: as for precautions, dr. robert toke says if you already have travel plans to go to europe or germany, keep them, go there. you should be safe, as long as you heed the local warnings to avoid raw tomatoes, lettuce, cucumbers, particularly from the northern part of germany. those foods are highly suspect in this outbreak, although researchers have yet to trace the exact cause. also, if you've traveled to germany, any time between now and -- travel to germany any time between now and april 1st of this year and

you come down with symptoms, let your doctor know about your recent travel because obviously, efpl coli is one of the avenues the doctor will wish to pursue. back to you jon. jon: scary stuff. jonathan serrie in atlanta, thank you. patti ann: riveting tapes playing out in the casey anthony trial: >> i know. >> you're on the right side. >> you're trying to find caylee and that's what's important. that's everyone's focus. that's what it should be. patti ann: coming up, why prosecutors claim she's telling a bunch of lies, and they say they have the evidence to prove it. we're watching the court action. we'll bring it to you intlement just a few minutes.

patti ann: this is a fox news alert. you are looking live now at a protest in new york city. hundreds of firefighters,

protest ago proposal to close 20 firehouses. first these firefighters, h along with some community bridge from brooklyn to manhattan, and they continued their march to city hall. they are protesting aúúg proposal to cut the budget by closing these 20 firehouses, saying that it will jeopardize lives. the uniformed firefighters association president steve cassidy saying people will be at risk, that protest going on right now. >> see? -- y -- c, y, m, o., g., r., i., g., h., o., u., s. >> [applause]

>> [applause] >> jon: with that word, we have a winner! fourteen-year-old sikana roy, winning the scripps national spelling bee, she's an #th grader from pennsylvania who takes home the top prize, spelling out that word which means waivey hair! sikana roy joins us now. sikana, i know you don't win the national spelling be without all kinds of study. is that a word you knew, or was there a little bit of guessing going on there? >> it was, actually, a word that i knew. jon: so i mean, they said the word, and you got the mental image in your brain of having gone over it in the dictionary, huh? >> not really. just -- i guess i just knew it. jon: maybe you have a little of waivey hair there, maybe that's why! obviously that is not a word i had ever heard of before. you seem to be a little tentative, though, as you

were spitting out the letters. were you absolutely sure you got it right? >> oh, yeah. i was sure that i knew the correct spelling of the word. i just didn't want to say the wrong letters. jon: how much time did you put into studying for this? >> well, i don't think i put in a specific amount of time every day, but i would basically just come home, do my home work, and then study for the rest of the afternoon. jon: how did do you that, go through the dictionary, literally? >> yeah. jon: just page by page, word by word, or do you only scone trait on the hard ones? >> well, there's really in definition of what makes a word hard or makes a word easy, so i just went through every one. jon: was that the toughest word you encountered or were there tougher ones in the earlier round? >> there were a lot of tough ones, so i wouldn't say that that -- that there is a toughest word. jon: well, i know you won,

what, $40,000 in scholarship money? i'm sure you'll put it to good use, sukanya roy, congratulations. >> thank you. thank you. pat path i for one hadn't heard that word! in any case, the support can go a long way in send ago candidate to the white house but political watchers say so many so-called values voters sat out the midterms. we'll talk about that. in yemen, chaos injuring that president and the violence there is raging. copd makes it hard to breathe

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patti ann: right now the president of yemen injured after a rocket attack on his palace. sources in yemen saying president ali ab bull lhasa lay was wounded, and seven top officials were also injured in the attack. this is the first time the presidential palace was targeted in nearly two weeks of heavy fighting. reena ninan is live in jerusalem with more for us. >> reporter: we are also hearing unconfirmed reports of a possible explosion within the capital within the past hour. earlier this morning i spoke to the former yemeni prime minister who told me that the president was okay after two rockets hit the compound following friday prayers. they are blaming a tribe, one of the most powerful tribes in yemen, for being behind that attack. the tribe denies any

involvement. the white house has been incredibly concerned about this issue. in fact, earlier this week dispatching counterterrorism official john brennan to saudi arabia and the united arab emirates to try to pressure saleh to step down. at least 155 people killed over the past ten days in the ongoing violence. saleh has tried three different times to broker an agreement, may 22nd was the last time the agreement went the furthest, and then he reneged everything. unfortunately, we are hearing one report of an official, he told an official that he was willing to leave at one point, and he said but if i leave, i'm going to leave this country the way i came in 30 years ago. he came in after a president there was assassinated. patti ann? patti ann: reena ninan live in jerusalem, thank you. jon: new reports out right now saying that president obama has drawn a line in the sand with republicans. according to house democrats attending a white house meeting yesterday, the president pledges he will not extend the bush era

tax cuts again as part of any deal to raise the debt ceiling. democratic congressman peter welch of vermont attended that meeting. do we have that right? the president said no more extensions of the bush era tax cuts? >> well, he did, that is correct. but he also said two things that i think should be of some comfort to all of us. number one, we've got to raise the debt ceiling. number two, he's engaged in active negotiations about a long-term deficit resolution. so he fully appreciates that this deficit is something that families experience as a burden on them. so his view is that in order to get to where we need to be, fiscal balance, we're going to have to have revenues as well as cuts. everything has to be on the table. and i think everybody knows when they really acknowledge the obvious that that's what we're going to have to do to be successful. and we can be. jon: a lot of republicans argue

that a recession is not the time to be raising taxes on anybody. >> well, that's the argument, but, you know, some people have not experienced -- some people have done extremely well even in this recession. most people haven't, i mean, unemployment's high and wages have been stagnant, gas and food have been increasing significantly in expense, but the top 1 or 2% folks in the financial community, they've really been doing extremely well, so the recession has passed them by. and good for them. but they can help out and do their share to restore fiscal balance because that debt is something that's an overhang, eventually, on everybody, every business, and it's got to be dealt with. jon: what about the argument you hear from the republican side of the aisle primarily that the president has not led enough when it comes to the economy and budgeting, that he is leaving things to the legislature to fight out? >> well, you know, that's a little bit of he said/she said that doesn't really get us anywhere. i think republicans and democrats are going to have to

work together if we're going to be successful. and the emphasis from the republicans is on spending. and they've got a point. there is, there needs to be cuts. but that includes in the pentagon. the democrats point out that we also have to have revenues, tax expenditures. should we be giving tax breaks to very profitable industries when they're doing extremely well, like the oil industry? so i think there's some truth on both sides, and rather than do the finger pointing, let's sit down and take the best ideas from both sides and make progress. jon: what about a simplification of the tax code. does that ever come up? >> >> it comes up a lot. and i think there's broad bipartisan support for tax simplification. as you remember, the last time we did that was bill bradley and president reagan, and we had simplified code, the rates went down, you get rid of exemptions. so i think in the long term we should do that, that's a good idea. there's a lot of debate about actually we're so caught up in the battle about the budget and

the debt ceiling that that's not actively in consideration at the moment as part of thissage. but it's something that the ways and means committee is working on. jon: if president does draw this line in the sand that we've talked about, the idea that he would not agree to any extension of the bush era tax cuts, on what other points might be he be willing to give? you're talking about compromise. republicans aren't going to like that. what would the president be willing to compromise on? is. >> well, keep in mind the bush era tax cuts at the top 2% mean that 98% of the people will continue to get the tax cut, so that's a pretty good compromise. and this, i don't think, should be seen so much as an ideological battle, but as a practical problem to be solved. the cost of extending that top 2% is $700 billion over ten years. now, where the president is working with the, i think, is willing to work is to try to bring down the cost of health care. that effects medicare, but it

effects employer-based delivery of health care, private-pay health care. and i think he's also willing to, and he's indicated this, willing to reduce spending in some of the democratic programs that have traditionally had broad support among the democrats. and a lot of democrats don't like to hear that, but the president certainly has indicated he's willing to have that be on the table as well. jon: peter welch is the chief deputy whip, congressman from vermont. thank you. >> thank you. patti ann: republicans are hoping to spark a political revival. their plan to turn the evangelical political movement into the forceful voting group it once was. this proposition is getting it first test right now, in fact. several hopefuls are speaking at the faith and freedom coalition conference. this new group is billing itself as a 2 isst century -- 21st century version of the christian coalition. so is there a candidate that so-called values voters can really get behind? we're joined by paul gigot and

host of the journal editorial report. thank you for joining us. >> great to be here. patti ann: so this conference is going to be in washington all weekend. tim pawlenty, herman cain, mitt romney, michele bachmann, rick santorum -- >> the whole crowd. [laughter] patti ann: so is this conference itself very important for shaking out the gop field for the evangelicals? >> well, it's a chance for them to showcase their message and see if they can generate some enthusiasm. because when mike huckabee dropped out, that really opened the field for all of these candidates to appeal to that so-called values voters because huckabee had done very, very well in 2008 and had emerged as their champion in states like iowa and south carolina. i think this time it's a wide open field, and that's why they're all showing up. patti ann: how important is the evangelical vote? >> it's very important, particularly to republicans. they got about, republicans got about three-quarters of the vote of all evangelical voters in 2008 and 2004. but about 17 million of those

voters stayed home in 2008. so while the republicans got the similar share, it was a smaller vote. so what they're trying to do now is get that excitement back up so it returns to the levels of 2004 and 2000. patti ann: yeah. so is there a front runner, would you say, emerging for the evangelicals, or might that happen over the weekend? >> well, people are talking maybe michele bachmann, tim pawlenty, people who have strong conservative records on a lot of the cultural issues. but i think that applies to nearly all of the candidates, and so i think everyone is going to try to maintain to get some of that vote, and then remember, this is a time where the economy is first and foremost for just about all american voters, including so-called values voters, evangelicals. so the economic message is also going to have to be prominent here as well as issues like abortion and gay marriage and so on. patti ann: yeah. there's a lot of overlap between the christian right and the tea

party, but there is some disagreement, you have libertarians in the tea party as well. >> right. patti ann: do you see the tea party uniting behind a single candidate, or is it going to be a split between evangelicals and libertarians? >> i think there's a fair degree of overlap, and the pew polls show there's about a 4 and 10 overlap. that's a pretty significant thing as far as a voting group goes. and some republicans talk about the leave us alone coalition where, you know, we don't want government to tell us what to do in terms of religion, we also don't want them to tell us what to do when it comes to spending or economic behavior. so there's really a coinciding of interests for a lot of these voters. patti ann: right. all right, we'll have to see what happens. maybe this conference will help to cement it. paul gigot, thank you so much. and you can see more of paul gigot on the journal editorial report tomorrow, 2 p.m. eastern time right here on fox news channel. and paul is immediately followed by jon scott, and he brings you "fox news watch," covering the coverage of the week's top news stories. jon: and we have a good one

coming up tomorrow. a shooting spree in arizona to tell you about. five people killed, the suspected gunman takes his own life. we'll get you the latest on this police investigation into the murders on the border town of yuma. plus, historic flooding, heavy rain, melting snow making it all much worse. the governor of montana joins us about the crisis in his state next. [ male announcer ] nature valley sweet & salty nut bars... they're made from whole roasted nuts and dipped in creamy peanut butter, making your craving for a sweet & salty bar irresistible, by nature valley.

jon: right now a double whammy of heavy downpours and melting snow doing a number on montana as well as the dakotas. flooding that has reached historic proportions underway there. the clark fork river, home to the state's second largest city, could reach flood stage as soon as today, and the flood waters expected to continue to rise through next week. montana governor brian schweitzer is back with us today. you haven't had a good 24 hours in your state, have you, governor? >> well, the headline in montana ought to be you ain't seen

nothing yet. in fact, i called both the governors of north dakota and south dakota yesterday and said to 'em, boys, there's a lot more where that came from. jon: yeah. it's all headed their way, huh? >> well, listen, here's the situation. we have somewhere between 250 and 800% of normal snow pack in the mountains. we have places that we have 60-80 inches of stored moisture in the high country, and that hasn't even started to come down yet. and all the rivers in the montana are bank full or flooding, they're all dumping into the dakotas which are already flooding. and as i said to the governors of north dakota and south dakota yesterday, listen, this is going to go on for three, four weeks because this snow's coming off later, and we've got more of it in our high country. and the missouri river that's flooding on down through the dakotas, 70% of that normally comes from the snow melt in montana, and we're anywhere from 200-800% of normal. 80 inches of stored moisture in

the high country. jon: right. and normally after the kind of rain you've had people welcome seeing the sun and warm temperatures, but that's not necessarily good news for you right now. >> well, that's, it's a double-edged sword because we're running late on this snow pack staying in the high country, and the longer we wait to get it down, the tougher it's going to be. i tell you what the sort of catastrophic scenario would be, let's say 8-10 days from now we get 8 or 10 ip. s of new rain on top of that 80 inches of stored snow up there, and it's warm, and the rivers are already full, and here she comes. boy, that's a problem. jon: right. what about the economic effect of all of this on your state, any problems when it comes to tourism, that kind of thing, if those bridges start to go? >> well, of course we've got a few bridges out, we'll get them patched up. we're going to have a big tourist season. of course, people from all over the world want to get to montana because we've got the best trout fishing and wildlife viewing, the most magnificent landscape

anywhere on the planet and the friendliest folks, so don't you worry about that. come on to montana, sun will be shining when you get here. jon: you know, i love your optimism, governor. [laughter] >> you asked me about the economic effect of this -- patti ann: sorry about that. in any case, this just in. a statement, now, from john edwards' attorney. as we've been reporting, john edwards was dieted this morning by -- indicted this morning after an investigation into accusations that he was using campaign cash in an illegitimate manner in order to, perhaps, cover up this extramarital affair during his last for run r the white house. his lead counsel, quote: john edwards will plead not guilty. he did not break the law and will mount a vigorous defense. again, that statement just moments ago from the lead counsel to john edwards, indicted this morning.

a daring bike trick lands the rider in the record books. we'll have more of this incredible video and that high-flying story coming up next. [cheers and applause]

patti ann: a fox news alert, rivetting tapes being play inside the casey anthony murder trial. you're looking live at casey in the courtroom, and harris faulkner is live with ab update -- an update for us. >> reporter: hi there, patti ann. i actually have a little different perspective coming from the satellite acquisitions in the our newsroom here. i'm able to see a bigger picture of the courtroom, and i can tell you they have just wrapped up a whole section where they're talking specifically about how evidence was gathered in this case. very interesting about how police handled the evidence and all the details in this case. these are the kind of details

that cases can get hung up on, so these are kind of the sticking points for jurors to really be paying attention to. and this has already been a very busy morning for jurors here on the east coast in orlando, florida, down in that courtroom where casey anthony is on trial for her life in the death of her toddler daughter. they heard some comments, conversations between her and her mom, jailhouse conversations from 2008. it's riveting. listen, and then i'll chat with you about it a little bit after. listen. >> i'm trying. i was trying. there's nothing more that i can say or do until i'm hope, and even then i don't know what i can do from that point, but i can at least do something other than sit on my butt all day and read or look up stuff for my case because that's -- that has to be my focus right now. that has to be my focus because -- >> [inaudible] >> mom, if that's my focus,

which it is, i can't do anything from here. i don't have access to to the internet. i can't make phone calls, i can't go anywhere. i've already told you, mom, i've told you everything -- >> i've thought about everything that you told me over the last month. >> you've thought about stuff, and you've done what you can? i'm sorry, that's all can do from the only knowledge that i have. >> reporter: the tension on that phone call, obviously, palpable. jurors being able to watch the mom, cindy, say to her daughter, we thought the focus was on little caylee as casey complains that she doesn't have a computer. all of that going on in the courtroom. it's about a 40-minute video that they've digested. i'll stick on this, as news warrants, we can come back to the breaking news desk for the very latest. back to patti ann and jon. patti ann: they're in recess right now. what a heartbreaking story. thanks so much, harris. jon: well, here is a first of its kind move that you've got to see to believe. take a look at this. [cheers and applause]

bmx rider pulled off a world record-setting three rotations in a back flip stunt. three times around backwards he goes. never been successfully landed before. he stuck it in new zealand. patti ann: 24 years old. jon: yeah. he says he's got an even bigger stunt ahead, but he won't tell us. this is the point of view from his helmet cam. absolutely unbelievable. patti ann: it is. three months of practicing for that. jon: i would hate to think what would have happened if he didn't land it. i suppose there were maybe a few balks in the practice. patti ann: yeah. jon: landed it when it counted. all right, keeping an eye on the markets after grim unemployment numbers out today. we're going to talk about what it means for a president who is now touting his jobs recovery plan and facing voters in a re-election bid. that's coming up. mine was earned over the south pacific in 1943.

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jon: tens of thousands of acres in arizona up in smoke as a result of wildfires hitting that state hard. harris faulkner is on it. >> reporter: yeah, there are several of them. two, though, in particular we're going to focus on this morning. one of them we've been watching for a few days, that's the wallow wildfire in the white mountains of eastern arizona. it's burned more than 100,000 acres or 165 square miles. but they're saying that they feel like they're starting to get at least a little bit of containment on this fire. they're calling it the alpine fire because it's only about 12 miles southwest of the town of alpine. they're trying to protect buildings right now, as you might imagine. about a thousand people have already been affected by this fire with residents who have been told overnight to evacuate, many left for shelters in a town not too far of a distance away for them to watch this as they try to contain it so that they can possibly, in the near future, go back to their homes.

as we've been watching some of these fires, though, it can take weeks for them to get to the point where they feel like they have them controlled. now, the next one we're going to show you through a u report picture that's come to us from a viewer. this is the fire not far from the border not too far from mexico. it's south of tucson, and these are the mountain ranges that sit between tucson and the border. it's a gorgeous area down there. the mission sits not far from here, and look at just the mountainside ablaze there just a couple miles outside of an artist community. we're watching these very closely. just yesterday it went from be about 2,000 acres to well over 11,000 acres in just a few hours. it's windy, t dry, we're watching the wildfires in arizona. back to you guys. jon: harris faulkner, thanks. >> reporter: sure. jon: welcome to our second hour.

it cost taxpayers billions to bail out gm and chrysler. right now president obama is getting a firsthand look at our investment. hello, i'm jon scott. patti ann: and i'm patti ann brown in for jenna lee. president obama is in ohio to highlight a rare bright spot in the sluggish economy. he's touring a chrysler plant in toledo and defending the bailouts as money well spent. molly henneberg is live at the white house. molly, the president will be touting a turn around in the auto industry, but needless to say, today's jobs numbers are going to follow him. so what is the administration saying? >> reporter: hi, patti ann. hi, jon. yes, the president will be highlighting chrysler paying off its loans to the government six years ahead of schedule, and the administration's estimate that taxpayers will recoup about 80% of the $80 billion in bailout money that was given to the auto industry. the president will tour a chrysler plant in toledo, ohio, later this afternoon, and he will speak to workers there. just before he left washington, the may jobs numbers were

released showing a slowdown in hiring and an uptick in the unemployment rate. the president's chief economic adviser told jon scott earlier today look at the past six months. one million jobs have been created, he says, and he cautions against reading too much into the may numbers. >> this month is, clearly, worse than expected. last month was well better than expected, and as i said last month, this month and every other month always be careful taking any one month jobs numbers. we clearly have faced some strong headwinds at the beginning of this year with gas prices, with the disruptions from japan, some of the financial issues in this europe. it's far more accurate to look at a little bit of a longer trend. >> reporter: goolsby makes the case that monthly numbers are, quote, volatile and can be subject to substantial revision. patti ann? patti ann: all right, molly henneberg live at the white house, thank you. jon: well, some grim news on the

jobs front, and that's creating political headaches for the white house. the unemployment rate jumping to 9.1% last month as the recovery shows signs of running out of steam. the slowdown casting a giant shadow over president obama's campaign trip to ohio. chris stirewalt is fox news digital politics editor. all politics is local, chris, and when you don't have jobs all across the country, that doesn't bode well for this administration. >> reporter: well, certainly not. certainly not for a second go for this administration. and when you look at ohio, a must-win state probably for president obama along with michigan, the turn around has not taken hold in the way that the president hoped that he could be promising today, jon. he wanted to go there and say, hey, we're doing a great job. the bailout worked, the stimulus has worked, we're on the right track, and today instead he's going to have to be explaining why we are losing ground instead of gaining it. jon: i've seen news releases

from just about every republican who is announced as a candidate for the white house. all of them hammering the president on this jobs report and saying, you know, it's time to change the policies. >> reporter: well, look, if you're mitt romney today, you see your path to the nomination and, in fact, you see your path to getting elected president next year. you've got a guy with a strong business record who that's what he's touting, that's what he touted as he rolled out yesterday. romney's the guy who's going to make the strongest argument in the republican field that he can do it. the other person who's probably looking at this with a sense of opportunity would be texas governor rick perry who's from the country's number one job-creating state down in texas, that he could come in and try and make his own argument that he could help do for the country what texas has experienced during his ten years in office. so there's opportunity here for guys like that. jon: you know, i was kind of surprised during my conversation with austan goolsbee, the president's chief economic adviser as you know, that there was no suggestion that maybe

things aren't working and that maybe we ought to try something different. his suggestion was, oh, the it's really not all that bad if you go back and average out the numbers over the last six months. let's not get too concerned about today's numbers. is that going to be the approach that the white house takes? do you get that sense? >> reporter: i certainly get that sense. and, also, remember they're constrained in the argument they can make with their negotiations with the republicans and moderate democrats on capitol hill over the debt, deficit and the debt ceiling. if they say they have to do something different, the only different offer is the republicans, they call it cut and grow, but basically to slash government spending and try to free up the private marketplace. the white house still maintains that the economy needs support from the federal government, and they can't cede that ground or it's going to hurt them in the short term and the long term. jon: chris stirewalt, thank you. >> reporter: you bet. jon: you can get powered up every day with "power play." go to foxnews.com, click on the politics tab. chris also begins his show on

the web on monday, "power play" will stream live 11:30 a.m. to noon eastern time on foxnews.com. patti ann: this is a fox news alert, an airport evacuation in oklahoma city. the will rogers world airport evacuating parts of that building and canceling some detarting flights of -- departing flights after a suspicious box was discovered at a baggage claim office. a spokesperson says this box was discovered this morning and that the bomb squad is, actually, at the scene. they have had no departing flights since 9:45 this morning. also incoming traffic to the airport has been stopped. the box impacted on the ticket lobby and baggage claim levels of the airport. those are the areas that were evacuated. arriving flights are not allowed to pull up to the gates, so a chaotic scene right now at oklahoma city at will rogers airport. an evacuation and bomb squad investigation into a suspicious

package. we'll keep you up-to-date. a perfect storm for disaster shaping up in the west. record snow pack, warming weather and heavy rain coming together to create conditions for a flooding catastrophe. already we're seeing signs of the coming deluge. rising rivers in montana and the dakotas now a major concern. utah already seeing dozens of mudslides, and other states are also getting ready, preparing for the worst. right now the missouri river is flooding in several states because of the heavy rain and melting snow. in south dakota sandbagging underway, thousands of people leaving their homes before that water gets too high. >> just filling in where we can and giving a helping hand where need be and just kind of filling sandbags and sandbagging around homes, etc. >> didn't quite realize what the catastrophic, i guess, or the height of the water at this point, and it is. it looks like there's a lot of

places in the danger. they need all the help they can get. >> it was important to come today. there are people who need to be moved out by 8:00, so we want to help as many as we can. >> evacuations are taking place right now, or they're going to be taking place, and i think if we don't get down here and do what we we can, we'll lose even more than what we could have lost. patti ann: fox news meteorologist janice dean is live in the extreme weather center with more for us. >> reporter: oh, patti ann, it's hard to tell this weather story because it's really about snow melt. so i heard one expert saying it's like a bull coming out of the chute, and the bull has not come out yet. so we're going to be talking about this story for weeks to come as the record snow pack continues to melt. and they got record rains across the west. i just want to show you what we're talking about. the national weather service is saying this could be one of the top five water years in the pacific northwest, the biggest flooding since 1997, that's over a decade, and the snow pack total in all of the west, all of

the mountain areas combined, 220% above average for the year. so, again, this is a slow-moving disaster that is just waiting to happen. flood advisories remain posted for areas across the northwest and, of course, the mountain areas where things are continuing to melt. we have warm temperatures coming up next week, and this is going to be an ongoing story. in terms of wet weather, we do have a storm system looming across the pacific that's going to move inland, and then we also have some rain and some mountain snow continuing to pound areas of the northern rockies, patti ann. we'll keep our eye on it, bring you the very latest. patti ann: all right, janice, thanks. jon: new developments to bring you in the investigation of a deadly shooting spree in arizona. a suspected gunman kills five people before taking his own life. police believe all of the victims were targeted. >> as the chief said, these people all knew each other. so, of course, at first you begin to think that maybe this

was just a random act, and it definitely wasn't. we're early on in the investigation, it's going to take time for us to sort through it and tie things up. jon: the murders in and around the border town of yuma leaving folks there asking why. adam houseley has more live. adam? >> reporter: yeah, jon. that's a question that always seems to be asked and many times is never answered. we're already hearing from neighbors, and it's the same response you hear in a lot of these unfortunate circumstances like, he seemed like a nice man. one neighbor said he was a grandfatherly figure, but yesterday that's not what was seen by the suspect, 73-year-old carl hal dyess, he's suspected of shooting seven people including himself, killing six. apparently there's so many questions here without answers, but apparently in response to his fifth divorce. he killed his ex-wife, two of her friends, shot the attorney, in fact, the attorney, gerald shelley, was someone who was very well respected in the community. we heard fm a number of people yesterday after he was shot and killed in his office including

his son. here's what he had to say. >> we are absolutely heart broken. he was just the epitome of a good father and a good husband. i never witnessed him say anything bad towards any other human being. >> reporter: what's interesting is this took place, this divorce took place several years ago, and that's one of the big questions, why all of a sudden now did he go on the rampage, shooting in the several different locations? at one point yesterday, jon, they shut down the courthouse and schools because there were multiple locations where this shooter opened up his rage and killed the people. again, there's one still living, apparently the friend of his ex-wife was shot in her home. she was airlifted to a hospital where she's in very serious condition, and at this hour there are a lot of questions as we keep talking about and, really, very few answers other than this guy snapped at some point and went on this rampage. jon? >> jon: so sad for those innocent victims. adam houseley.

>> reporter: absolutely. jon: thank you. patti ann: jurors getting a look at a jail recording of a furious casey anthony. what set her off in a lye update from orlando coming up. and nation in the turmoil. a deadly attack on yemen's presidential palace. the president survived, and his supporters are now taking to the streets. and there is concern growing over what this will all mean for world security. [ man ] ♪ trouble ♪ trouble, trouble trouble, trouble ♪ ♪ trouble been doggin' my soul ♪ since the day i was born ♪ worry ♪ oh, worry, worry worry,orry ♪ [ announcer ] when it comes to things you care about, leave nothing to chance. travelers. take the scary out of life.

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jon: a fox news alert for you, new information on the evacuation of will rogers airport in oklahoma city. harris is working the phones for us. harris? is. >> reporter: yeah. i just got off the phone with the local police there at the airport. they are the ones who are tasked with dealing with this. the bomb squad is on the scene, and they may very well be able to do what they've been trying to do for the better part of two and a half hours, that is to, quote, resolve the situation with the contents of a bag that was found in the baggage claim

terminal area. they have evacuated hundreds of people inside the airport from the ticketing lobby to anything that was near the baggage claim. some of them have gone down into parking garages to get away from that area, what they're calling a safe area while they can determine what's inside the bag. meanwhile, no planes are allowed to take off. those allowed to land cannot pull up to gates, so you have hundreds of people on a very heavy, business -- busy day for traffic just sitting on planes on the tarmac until this is resolved. travel, even if they settle it right now, will be disrupted for hours to come, so i've been told. jon: sounds like a mess. harris, thanks. patti ann: a day of raw emotion in the casey anthony murder trial, jurors watching jailhouse tapes of anthony talking to her parents back in 2008 when the world did not yet know that little caylee anthony was dead n. the recording, anthony is at times emotional and even defiant.

phil keating is live in orlando right now. the court just saw this ver agitated jailhouse visit. when exactly was this recorded? >> reporter: this was recorded august 14, 2008, and for those familiar with this case, this is the most anticipated jailhouse visitation videotapes to be entered into evidence. and, boy, the jury certainly this morning got an earful and an eyeful. you can see in the visitation casey anthony, as well as her mother cindy and father george, vis my upset. they're trying to talk about what they can possibly do to find caylee, and then quite visibly, casey loses her temper. >> i need to have something to go on. >> mom, i don't have anything, i'm sorry. i've been here a month. i've been here a month today. do you understand how i feel? i mean, do you really understand how i feel in this? i'm completely, completely out of the loop with everything. the only information i get is

when i see my attorney. that's it. >> yeah -- >> outside of that i have nothing to go on. every day i have to sit here and wait and wonder. >> reporter: and her anger actually grows as this visitation goes on. keep in mind at the time casey anthony has been behind bars for one full month at this point, and it also happens a week after caylee's third birthday, and as we all know, little caylee never lived to see that. patti ann: yeah. phil, her parents seem pretty skeptical throughout this phone call. what do we know about whether or not they were buying her story at this point? >> reporter: they still appeared to be believing the story about srx -- the nanny even though the parents are completely aware after four weeks of heavy law enforcement investigation, not one lead has been produced to even find the evidence of the existence of this nanny. they tell their daughter they

have been raising money, putting up billboards with little caylee's photograph all over the state of florida and parts of the country, but they keep reiterating to find caylee, they need casey's help. >> control everything -- >> no, i -- dad, please. >> sweetie, i'm not trying to get you up upset. >> no, but i am upset now. i'm completely upset. one, the the media's going to have a -- field day with this. >> no, they're not. >> i wasn't even supposed to take this. let me speak for a second, dad. i've let everybody talk. >> okay. >> they're not releasing it? well, i hope not. i'll keep saying whatever i have to about the police -- >> [inaudible] >> can someone let me -- come on! >> reporter: amazing, amazing, amazing. that is the end of the five-hour now -- this is about six different visitations and interviews that the prosecutors are playing for the jury over the past two days. so that's it for those jailhouse

visitation videotapes, but certainly they ended on the most explosive one by far. patti ann? patti ann: all right. phil keating reporting live for us, thanks. jon: a fox news alert and be thankful you're not at oklahoma city's will rogers airport right now. the place has been evacuated because of a suspicious bag that was found, apparently, on the baggage claim level. hundreds of people are sitting on airplanes that are not able to pull up to the gates right now. because the terminal building has been evacuated. hundreds of other people who were in the terminal building have been taken to what are called safe area around the airport. what a mess. nothing is moving, no planes going in or out until they get the situation figured out. they've got the bomb squad on it, we've got harris on it, and we'll be right back. -hey, mom. -what's for dinner?

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patti ann: a fox news alert, an evacuation at an airport in oklahoma city, and harris faulkner has all the latest for us. hi, harris. >> reporter: hi. i've just gotten off the phone with the police at the airport, and they're telling me all major carriers at will rogers world airport in oklahoma city are being affected by this evacuation as they try to figure out what's inside of a bag that was found in baggage claim terminal with questionable contents. the bomb squad is working on this. this could get resolved, but even if it does, if you're flying on american, continental, delta, frontier, united, southwest, and you're flying into or out of or through oklahoma today, you need to know about what's going on there and, definitely, call the airline before you take off for the airport or anticipate landing in that area. jon and i have both mentioned just before the commercial break planes are being allowed to land, but you can't get off the

plane because you can't get to the gate. oklahoma's will rogers world airport, very busy on a friday afternoon as they deal with a suspicious package. patti ann? jon: "happening now," it's a pivotal day in the dispute putting the nfl season in jeopardy. attorneys for the owners and players making opening arguments in an appeal that will determine whether the players actually get back to work. steve brown live with more for us. tell us, what's at stake today, steve? >> reporter: well, whether or not this lockout that the owners have instituted towards the players can continue. we're into day 83 now, by the way. the argument, essentially, goes like this: the players decertified their union. the players, therefore, allege that the owners are free to individually negotiate with all 700-plus future players of the 2011 season. but the owners say, wait a second, you folks had a union, you decertified your union and only did so because things weren't going well at the negotiabilitying table.

therefore -- negotiabilitying table. therefore, it's a sham. that's what the federal judges are up to today, to determine whether or not the decertification of the nfl players' association was, indeed, proper or just merely a tactic. if lockout can no longer go on, if it goes against the other thans, then the owners would have the possibility of the justice department nipping at their heels because if there's no union, then they should be getting on the with the business -- on with the business of preparing for the next season which, clearly, they're not doing. jon? jon: well, are they still negotiating? is. >> reporter: they are, as a matter of fact, and it was going to be a private, off the record session, but in st. charles, illinois, west of chicago, there was a two-day session led by federal judge arthur boylan up in minneapolis who led a mediation session. sometimes the owners group and the players group met separately, apart from be each other, sometimes they dined together, sometimes they met together. what happened during those

sessions isn't being discussed, the nfl releasing a statement yesterday saying everything is confidential. the status quo remains the same, the nfl season is in jeopardy. jon: let's hope they get it fixed, because i think we all want to watch our football this winter. patti ann: the jobless rate ticking up and new hiring weak, what can we expect going into the summer? also, more jailhouse videos of casey anthony chatting, crying, even laughing with her parents. we'll talk about what those tapes could mean to the case against her. we'll be with our legal analyst live shortly. are you receiving a payout from a legal settlement or annuity over 10 or even 20 years? call imperial structured settlements. the experts at imperial can convert your long-term payout into a lump sum of cash today.

patti ann: this is a fox news alert, a dramatic situation is underway right now in houston. we're looking right now at video that was shot just moments ago of a situation that is still ongoing. we're not showing you the pictures live because of the unpredictability of the situation. but what we have here is a black cadillac escalade that was stopped by police in houston, texas. they pulled over this car, apparently, for a felony traffic stop, but the problem is the driver of that vehicle will not come out. so they are pointing their guns at this escalade and having some sort of a conversation, trying to get the person out of the escalade. it's not clear if there are any passengers in the car, but for now it is a standoff situation, and it is tense and, actually, we're looking at new video right

now. it looks like he was taken out of that vehicle in a nonviolent manner and is complying with police directions at this point. a nearby school was put on lockdown, looks as though the situation is going to be resolved momentarily. jon, youjon: want your job to ho deal with these numbers, but you and i -- >> truly, would you ever want my job, jon? jon: you and i both have jobs. what do you say to the tens of millions of people out there who don't? >> look, it's been a very tough environment. this is the worst recession since 1929, it started in 2007, and we're just trying to work our way out of this. now, i would say that you have seen over the last six months some substantial progress, over the last 15 months we're clearly headed the right way, and it's been relatively broad-based. manufacturing's having the best

job creation month it's had in almost 15 years, and in a lot of sectors across the board you've seen advancement. we're, clearly, going to be bumps in the road, but i think we've got to continue trying to get the private sector stood up because the era of the government being the driver of recovery, that's relegated only to the rescue phase. we now need to shift to the phase where the private sector leads the recovery, and so that's where the focus has to be. jon: that was a little bit of my interview with austan goolsbee, the president's top economic adviser, the chairman of the council of economic advisers there. some gloomy news on the jobs front. the part that you missed there, i told him i wouldn't want his job trying to, well, spin flak into gold here. the unemployment rate ticking up in may to 89.1% -- 9.1%. employers added only 54,000 new jobs nationwide, that's the

smallest number in eight months. the jobs situation on shaky ground for months, not nearly enough new openings for all those americans who are looking for work. let's talk about it with john taylor, a professor of economics at stanford university, a former undersecretary of the treasury for international affairs. he's also one of 150 economists who signed a letter this week calling for spending cuts in this government that exceed any increase in the debt limit. that's, obviously, the big issue right now in washington, sir. many republicans say if they're going to raise the debt ceiling by $2.4 trillion, we've got to find a couple of trillion dollars worth of spending cuts. you say it's absolutely essential to do that. why? >> because right now we have this gigantic deficit, and if we just raise the debt limit without doing anything about it, it raises all sorts of questions about the commitment of our government to take some serious actions.

so all this is, all this proposal is from the economists is if you're going to raise the debt limit, find some spending growth reductions, it's just reducing the growth rate of spending, about the same magnitude. it's possible to do that, and i think if people like austan goolsbee get out and speak in favor of that rather than against it, it would help tremendously. jon: well, the administration line seems to be, and i'm not speaking for them, but it seems to be that, you know, a lot of these programs, a lot of the spending is tied up in in entitlement programs, medicare, social security and the like, and you can't go in there with a meat axe and cut $2 trillion out of it. >> no one's talking about a meat axe, quite frankly, that's a term that's put out there just to scare people, i think. it's, basically, just trying to reduce the growth of spending. i think of it as you're trying to bring spending down to levels as a share of gdp, if you like, where they were before this crisis. and we've had a gigantic

increase in government spending. and all we need to do is try to get back to where it was before the binge. it's really undoing a binge more than anything else. and it's doable. basically, the scare tackties are to be -- tactics are to say it's unhelpful. jon: you may have heard austan goolsbee saying we're at the phase where the government has to stop being the driver of the recovery, and private enterprise has to take over. is that a revelation? [laughter] >> well, i think if they thought about that two years ago, we would be in much better shape at this point. it's not like the private sector just is never there and you've got to call on them when you need them. quite frankly, i think the point about the private sector is very important. we should not have relied on government and the stimulus packages and things like that. they have proved to fail in the past, and they haven't worked this time. so at least it's good news that the focus is on the private sector, but you have to deliver

in some sense on trying to get the regulations down, trying to deal with this spending and the scary debt situation. i think it'd be great if we at least ruled out tax increases down the road. as you know, the administration is calling for tax increases, and i think that is a harmful thing for the economy. jon: john taylor is an economics prof at stanford university. mr. taylor, thank you. >> thank you. patti ann: a big mess right now on the highway in texas. we have a truck that crashed and caught fire, apparently multiple vehicles were involved. it happened in mesquite, we're looking at new video right now from kdfw. this happened on a very busy intersection. the welcome back highway 30 at -- westbound highway 30. no fatalities, thankfully. the driver was apparently pulled out to safety, but what has happened now is this has heavily tied up traffic in this area. the truck was hauling scrap metal. the service roads are starting to open up again as this

accident gets cleared up but, again, that truck was on fire. big mess there in mesquite, texas. back, now, to the casey anthony murder trial. the court is in recess right now, but earlier jurors got to see anthony's conversations with her parents while the search for caylee was on. in these videos casey anthony is emotional at times, also expresses anger and tells her father that the family would all be back together. what does this all mean for her case? well, joining us now, family law attorney jennifer brand. thanks for being with us. >> thanks for having me. patti ann: jurors have watched this video of a jailhouse visit casey had with her parents in 2008. i'm sure you've seen the clips we've been running of it. the parents seem very skeptical. how damning is that, and also the testimony by casey's relatives that we've seen so far? >> well, i think it's very damning to her case. although the defense is saying the reason that she hid this for

so long is that she was sexually abused by her father. so that sort of will explain from their side of things why maybe there's some tension or skepticism between the parties. but i still think it's a problem when her parents are, you know, asking her, trying to find out information, and she's not giving any information. although from her perspective now, apparently she allegedly knew about this whole time. so i think that's the most damning evidence here. patti ann: and she is complaining she doesn't have a computer, and she says because i have to work on my case. and her parents say, well, i think we should focus on finding caylee. and then she's talking about how why doesn't anybody care about me, me, me, i, i, i. >> right. i think that's the biggest -- patti ann: go ahead. >> i think that's the biggest problem because all we hear about is how bad she's feeling and poor me, and i don't get any news, and no one talks to me, and i'm sitting here, and she's not mentioning her daughter who's missing at the time or who she knows is already dead.

she has the keys to free her from the jailhouse, allegedly, but she's not giving up that information. she's only complaining about, you know, no one cares about me. so i think being a juror looking at this you're starting to say, what's wrong with this woman? and, you know, what about this child that's gone and that everybody else is going crazy looking for? her parents are putting up billboards, they're wearing t-shirts, and she, apparently, knew that the child drowned? if i mean, it looks pretty doubtful. patti ann: right. the defense now is that the child drowned. >> that's what they're saying. exactly. exactly. patti ann: you know, no matter how bad hi she's coming across -- badly she's coming across in her testimony and in these interviews, etc., it is a circumstantial case. it's a death penalty case. do you see -- how do you see this going? >> well, i think the prosecution is being very smart about it right now because they're giving all the character assassination information up front. usually, it's more about the forensics initially because

that's usually the strocker amount of evidence -- stronger amount of evidence in a murder case. but here they're attacking her, showing she's not credible in any way, and later when they bring in the forensic evidence, they already have the jurors, hopefully, convinced that this is a person who doesn't care about anybody but herself, who, you know, allegedly harmed her child and then the forensic evidence that they do have -- which is not much -- will hopefully support that and convince the jurors that she did, indeed, murder her child, and it wasn't an accidental drowning as she's alleging. patti ann: jennifer brant, family law attorney, thank you. >> thank you. jon: a president wound inside a possible assassination attempt sparking new fears about the stability of a usual ally in the war on terror. we'll have the latest on what's going on in yemen in three minutes. and this, a connection between world war i and a popular breakfast food that millions of people enjoy. we kid you not, some tasty details coming up. for strong bones, i take calcium.

but my doctor told me that most calcium supplements... aren't absorbed properly unless taken with food. he recommended citracal. it's different -- it's calcium citrate, so it can be absorbed with or without food. citracal. and my dog bailey and i love to hang out in the kitchen. you love the aroma of beef tenderloin, don't you? you inspired a very special dog food. [ female announcer ] chef michael's canine creations. chef inspired. dog desired.

patti ann: we've seen an awful week of news on housing consumer confidence and now today jobs. but the president's team says don't worry. we'll debate both sides of that. judge jeanine peer row has been inside the courtroom for casey anthony's trial. her front row seat into what the jury is thinking. plus we'll have the backlash over rhianna's violent video. all that when i see you in 15 minutes. jon: fox news alert right now, on capitol hill, the house is debating a resolution offered by democratic representative dennis kucinich of ohio. he says the nato military action in libya is unconstitutional. that the president subverted the constitution when he dedicated u.s. forces to that effort. he wants the u.s. out of the nato component that is launching those airstrikes on libya within 15 days. the house is debating right now. we're keeping an eye on it.

we'll let you know the result of that vote. patti ann: well some of us eat them for breakfast but did you know our nation's love affair with the doughnut actually started nearly a century ago? back then women served them to u.s. soldiers during world war i. today the salvation army is honoring the so-called doughnut lassies with national doughnut day and of course continuing the salvation army's good works. joining us is the salvation army spokesperson. thanks so much for being with us. >> my pleasure. patti ann: tell us about the doughnut lassies. >> the general of the salvation army wanted to respond to the need of american soldiers over in france in world war i. sent these young girls over there to kind of bring home to them. read them letters from home. help them write letters. let them talk about the stresses they have been through and they made something that they wanted them to feel like home so they made doughnuts. patti ann: very nice.

this started back in the 1930's, national doughnut day and that's what we're celebrating now. >> exactly. the salvation army responded to the needs of folks during the depression wanted to raise fund in honoring our servicemen and women over there in france and the at the same time raise mop any to help those fam is are. we're helping families today of the men who are over in iraq and afghanistan. their families come to us all the time when they go for multiple tours over there. they have financial stress and we try to relief that. patti ann: and you are, this is a fund-raising effort as well. we have very little time. if you want to get involved, text doughnut to 8088, that would offer a $10 donation to the salvation army and also facebook. >> go on our facebook or entemann's who are the sponsor for doughnut day. we will continue to help the families. if you become a friend or fan of the salvation army or

entemann's, go for a prize of ipad and other things they're using to raise fund. patti ann: for every facebook they are -- >> yes. patti ann: thank you. back to you, jon. jon: making me hungry. an explosive situation in russia. we have the dramatic video of a raging fire in the bright sky of bright orange flames shooting out of an explosion at a military ammunition complex. tens of thousands of people forced to leave the area. more on that just ahead. plus life discovered in a highly unlikely place. meet mephisto, the devil worm that lives miles underneath the surface in a world all its own.

jon: that's a clip from the comedy/horror movie, "tremors" featuring monsterous worms from deep in the earth wreaking havoc on the human race. there is real life version. these worm-like animals discovered nearly two miles underground. joining us now, a professor of physics at city university of new york. author of, "physics of future, how science will shape human destiny and our daily lives by the year 2100". as a physicist were you surprised about the creatures, nemotedes two miles underground? >> i was.

these these are not zombie worm from hell. they are all calling them, h-mephisto, lord of underworld. every biology textbook says complex life can not exist more than 200 feet underneath our feet. two miles underground is a game-changer. jon: weirdest thing they are apparently surviving off the energy in radioactive rocks? >> as you go down into the earth it becomes more radioactive. there is no life down there. what kinds of organic materials can you feed on? radioactive decay products. the scientists are fascinated. this could change nasa's mars program. on mars we look for life on surface of the plan the. we have methane gas from the planet's interior meaning there could be organic life underground and that is one place where nasa has not looked. jon: this could change the theory of about life on mars, whether it exists or not? >> one theory says perhaps

50% of the all the biological mass of the earth itself is underground. so this is a game-changer. underneath our feet could be microbial life, complex worms and other kinds of animals. that will force nasa to rethink its mars program. jon: i know the scientists who discovered this creature, they went down into a south african gold mine that had already been drilled a couple miles deep into the earth. that's where they found these creatures but how do they know there weren't some, nematode eggs that went in with the workers on their feet? >> that's why it took so long to publish the paper. they had to make sure the worms didn't come on people's feet. they're very small. about an third of an inch long. they had to make absolutely sure there was no contamination. that's why they finally published the paper. they're convinced using dna evidence this is new form of life. jon: a long way down. thank you. patti anne? patti ann: court is about to

go back into session in the murder trial of casey anthony. the latest evidence presented shows a side of casey anthony some have never seen. she lashes out at her parents in jailhouse videos. you can get fox news anywhere, any time. the fox news ipad app is now available. go to foxnews.com/ipad for more inno. -- info

jon: here's problem you don't want to have. incredible new video after massive arms depo explosion in russia. a fire there setting off heavy ammunition, unleashing towering flames and plumes of smoke. explosions so powerful they shattered windows six miles away. there are reports two elderly people in the area died of heart attacks. another 45 people hurt. nearly 30,000 evacuated. emergency workers are fighting to contain this disaster but it is such a problem as you can imagine, they're bombs, ammunition, explosions. hard to put a